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in Mountain House, CA
Mountain House draws both civilian buyers and military families due to proximity to Travis Air Force Base. The loan you choose affects your down payment, closing costs, and monthly budget.
Veterans get powerful benefits with VA loans that civilians can't access. But conventional financing often wins for buyers with strong credit and cash reserves.
Conventional loans require 620+ credit and 3-20% down depending on your profile. You pay PMI below 20% down, but can remove it once you hit that equity threshold.
These loans work for any property type meeting Fannie or Freddie standards. Sellers prefer them because appraisals don't flag minor repairs, and closes happen faster than government loans.
Rates vary by borrower profile and market conditions. Strong credit scores get better pricing, and putting 20% down eliminates insurance costs completely.
VA loans require zero down and charge no monthly mortgage insurance. You pay a one-time funding fee that varies by service type and whether you've used the benefit before.
Only eligible veterans, active-duty members, and qualifying spouses can use this program. The VA appraisal checks safety items that conventional appraisals skip, which can delay closes or kill deals on fixer properties.
You can reuse this benefit multiple times throughout your life. The loan assumes the property is your primary residence, so it won't work for investment purchases in Mountain House.
Down payment separates these loans most. VA requires nothing upfront while conventional needs 3-20% depending on your credit and the property.
Monthly costs differ significantly. VA has no PMI but charges a funding fee you can roll into the loan. Conventional charges PMI under 20% down that adds $100-300 monthly on typical Mountain House purchases.
Appraisals create the biggest friction point. VA requires peeling paint, handrails, and pest inspections that conventional loans ignore. In Mountain House's newer construction areas this matters less, but older properties near the Tracy border often need repairs before VA approval.
Choose VA if you're eligible and buying a primary residence. Zero down and no PMI save thousands monthly and upfront, even after the funding fee.
Go conventional if you're not eligible, buying investment property, or need a fast close on a competitive listing. Sellers pick conventional offers over VA when multiple bids arrive because they fear appraisal repair requirements.
Some veterans choose conventional despite eligibility. This makes sense when you have 20% down already and want maximum negotiating power in bidding wars. You can always refinance to VA later and pull that equity back out.
No. VA loans require you occupy the home as your primary residence. Use conventional financing for rentals or second homes.
First-time VA users pay 2.3% with zero down or 1.65% with 5%+ down. Subsequent use increases the fee to 3.6% with zero down.
PMI typically costs $100-300 monthly on Mountain House purchases. The VA funding fee is one-time but can equal $5,000-$15,000 depending on loan size.
They can. VA requires repairs for safety issues conventional appraisals skip. Most Mountain House inventory is newer construction where this matters less.
Yes. Once you reach 20% equity through payments or appreciation, request PMI removal. It automatically cancels at 22% equity.
Conventional typically closes 3-5 days faster. VA appraisals take longer and sellers often prefer conventional offers when timing matters.